Management Theory
What are the four principal functions of management?
planning, organizing, leading, controlling
In the context of sustainable development, which of the following best represents the concept of the triple bottom line?
balancing economic, social, and environmental considerations.
Last week Vivian, CEO of Comfort Home Furnishings in Springfield, Massachusetts, traveled to Europe to visit customers. While overseas, Vivian checked her email daily and presented her company’s website to customers, outlining how the website would streamline order placement and merchandise delivery. After concluding her last customer visit Thursday morning, Vivian promptly returned to the corporate office in Springfield to meet with her board of directors that evening. Vivian is utilizing the ________ that makes travel and communication more efficient.
global village
Wyatt is starting a company that leases offices, conference rooms, and shared workspaces. Wyatt has approached a local investor that assists small-business owners in setting up their companies. The investor will probably advise Wyatt to:
write a business plan.
The managerial tools for ________ include a SWOT analysis, forecasting, and VRIO analysis.
organizational assessment
Managing for competitive advantage, information technology, and diversity represent key _________.
Managerial challenges
An organization's internal stakeholders consist of
employees, the board of directors, and owners.
Countertrading is ________ goods for goods.
bartering
Jacinta, a supervisor at a customer service call center, set an objective for her subordinates to decrease their average call times by 12%. Which type of objective did Jacinta set?
performance
One type of objective used by managers in MBO is the performance objective which expresses the objective as an outcome or end-result.
The three key principles of ________ are the creation of a unique and valuable position, trade-offs in competing, and creating a “fit” among activities.
strategic positioning
The three key principles of strategic positioning are
Robert is the type of manager who completely focuses on efficiency, and he assumes workers are rational. Robert is probably applying the _______ viewpoint.
Classical
A national health club chain asked its 30 highest paid employees to take a 15% pay cut. Doing this, in response to recent membership declines, meant no club closures and no downsizing. This could be characterized as the ________ approach to ethical dilemmas.
utilitarian
Manuela is the director for her company’s African operations. She is interviewing candidates to fill the position of factory manager at the location in the Ivory Coast. Manuela carefully considers the qualifications of both foreign and domestic applicants to identify the most effective candidate. What type of manager is Manuela aspiring to be?
geocentric
The owner of several computer repair shops across northeastern Wisconsin has set a(n) ________Blank goal for her company of increasing market share in the region over the next three years.
strategic
Strategic goals are set by and for top management and focus on objectives for the organization as a whole.
The BCG matrix is a means of evaluating strategic business units based on their:
business growth rates and share of the market.
The BCG matrix is a means of evaluating strategic business units on the basis of (1) their business growth rates and (2) their share of the market.
Top managers of a designer handbag company have recognized that having too much inventory is expensive. The handbag market is seasonal and trendy, so completed handbags need to be sold almost immediately or they may never sell at all. By applying the principles of ________, the company can schedule production to better match customer demand
operations management
Zeus Enterprises, a cloud-computing firm, has recently implemented a unique compensation structure for its executives. A portion of executive compensation is now tied to the company’s performance in achieving specific corporate social responsibility (CSR) goals related to reducing electronic waste and promoting digital inclusion in underserved communities. Based on your understanding of CSR contracting and its impact, how would you evaluate the potential effectiveness of Zeus’s approach to executive compensation?
Strong. Tying executive compensation to specific CSR goals demonstrates a commitment to ethical practices.
BRICS, a grouping of five major emerging economies, has played a significant role in global affairs. Which of the following best illustrates the practical impact of BRICS on international relations?
BRICS countries are home to over 40% of the world’s population.
Which of these examples illustrates how the competency of networking can support planning?
- Peyton is adopting a strategy of making social media posts in advance and then scheduling them to appear at high-engagement times.
- Daniella is completing extra workshops to make her a better customer service manager.
- Mohammed intends to decrease labor costs at his firm by 15% over the next six months.
- Naheem’s company is establishing a new contract with a vendor that Naheem met during a trade show.
Naheem
Effective planning requires you to be a proactive learner in areas beyond the technicalities of your profession. It also applies to two additional career readiness competencies: understanding the business and networking.
When organizations endeavor (1) to keep their costs (and hence the prices of their products or services) below those of competitors and (2) to target a wide market, they are utilizing a ________ strategy.
- focused-differentiation
- differentiation
- cost-leadership
- cost-focus
The cost-leadership strategy is to keep the costs, and hence prices, of a product or service below those of competitors and to target a wide market.
Why were new management theories necessary to address the challenges organizations face, involving both processes and people?
to consider the interconnectedness of organizational components
Very often the actions of businesses to make profits result in outcomes that harm the environment. Many scholars recognize the importance of sustainable development, which is an economic development that
meets present needs without compromising the ability of future generations to meet their needs.
To increase your ________ awareness, you should ask yourself “What do you need to know or understand better?”
contextual
Context refers to the situational or environmental characteristics that influence our behavior. Expert Bruce Tulgan recommends considering what you need to know or understand better in order to increase your contextual awareness.
Anita, a manager at a cutting-edge tech startup, is leading a team responsible for launching a groundbreaking product. The company has set ambitious strategic goals for market penetration and user adoption. Anita understands the importance of the planning/control cycle in this dynamic environment. When applying the planning/control cycle, Anita should
- establish rigid, unchangeable goals to ensure consistency in the project’s direction.
- continuously monitor progress towards the strategic goals and be willing to adjust strategies as needed.
- focus solely on short-term objectives to achieve quick wins for the company.
- avoid evaluating progress until the end of the project to maintain team focus.
continuously monitor progress towards the strategic goals and be willing to adjust strategies as needed.
The planning/control cycle is a continuous process managers use to evaluate the progress in achieving strategic goals and to make modifications as needed.
In the second core process, managers should address questions such as “Who is the competition?” and “Are the short term and long term balanced?” to better understand:
- the jobs of the future.
- the path for people to follow.
- who is going to get it done.
- the “how” of execution.
In most organizations, the strategies developed fail to consider the “how” of execution. A good strategic plan addresses nine questions, including “Who is the competition?” and “Are the short term and long term balanced?”